After you buy your coverage, you can rest assure that you most of your financial obligations for work related injury have been meet. Most does not mean all. Its practically impossible as a business owner to be completely assured due to the number of facets of operating and securing your business and the legal system.

Therefore, do the following after and during your policy:

1. Read It

Read every word of your policy. Take notes, mark it up. This document not only explains your obligations but the obligations for the insurer. They do make mistakes. If you do not understand the policy call your agent or broker. Make sure you are properly coded, it has a direct effect of your premium and can affect the application of coverage should an incident occur.

2. Confirm “COVERAGE B”

Make sure this is included and that you have an attached copy. Since the latest court decisions in Florida, this is a must have! This section provides insurance and defense cost for claims made and suits. They are not covered under the main part of the policy. Expense incurred for attorneys’ fees and cost are extremely high and sufficient enough to severely cause financial damage to a small or med-size business.

3. Keep the Policy up to Date

If your business adds additional locations or if you expand out the state. The policy must be updated. Include the worker’s compensation policy update on the check list of TO Dos as you expand your business. Failure to disclose to the carrier a location in another state could lead to declination of coverage.

4. Comply with Reporting

You must make sure that when you read the policy you outline the requirement for reporting a claim or a law suit. Failure to report within the time and manner stated could result in a coverage declination. Depending on the amount of awards and attorney’s fees, this could be the end of the business.

5. Review the Annual Audit/Statement

It is important to review the information in your annual or quarterly statement. If your business was down, you may be entitled to a refund. On the other hand, if your business did good, you may owe. If you use a PEO, review your statement to verify coding, business qualifications and availability of discounts. Your broker should be in touch with you periodically to determine available discounted rates and services available.